Left Menu
Development News Edition

Oil firms, miners lift European shares on upbeat China data

Reuters | Updated: 15-05-2020 14:34 IST | Created: 15-05-2020 14:29 IST
Oil firms, miners lift European shares on upbeat China data
Representative Image Image Credit: Pixabay

European shares rose on Friday, with miners and energy firms gaining after China reported its first monthly rise in factory output this year, but concerns about global economic recovery kept stocks on course for weekly declines. The pan-European STOXX 600 rose 1%. Miners, exposed to the health of the world's second-largest economy, jumped 3.7% after data showed China's industrial production climbed at a faster-than-expected 3.9% in April.

A surge in oil prices amid signs that demand was picking up helped add 2.2% to the oil & gas index. Global stock markets have slid this month after a solid recovery in April on fears of a possible resurgence in COVID-19 cases as economies ease restrictions. The STOXX 600 is set for its biggest weekly drop since the height of mid-March selling.

"The market is torn between stimulus, new infections and economic data," Keith Temperton at Tavira Securities said. "The data is bad, but the stimulus is outweighing it for now. But I don't imagine it's going to last." U.S. President Donald Trump on Thursday signalled a further deterioration of his relationship with Beijing over the coronavirus, saying he has no interest in speaking to his Chinese counterpart right now and suggested he could even cut ties with the country.

However, global stocks took cues from a strong session on Wall Street overnight, pinning hopes on the reopening of economies and the possibility of additional stimulus. An early reading of Germany's GDP showed Europe's largest economy contracted by 2.2% in the first quarter, its steepest slump since the 2009 financial crisis, but was largely as expected.

Supporting market gains on Friday, German food-processing equipment maker GEA Group jumped 11% after reporting better-than-expected first quarter results and confirmed its 2020 forecast. Britain's biggest telecoms group BT Group Plc surged 8.7% after a report that it was in talks to sell a multi-billion pound stake in its wholly owned network subsidiary, Openreach.

Swiss drugmaker Roche edged up 1.1% after saying it would start selling a new digital diagnostics product that may simplify and accelerate screening of COVID-19 patients. However, Swiss-based luxury group Richemont fell 2.3% as it saw strong demand in China but expects "headwinds in the months ahead" globally due to the new coronavirus.

British retailer WH Smith dropped 5.5% as its total revenue plunged 85% in April after sales at its airport and train station shops and kiosks were hit by government travel restrictions.



Why COVID-19 is unstoppable in USA despite it being ranked at the top of GHS Index?

Several worst-hit countries such as Italy, France, Spain, the UK, Canada, and Russia have peaked COVID-19 cases in April. Almost all of them have gradually flattened the curve. However, the USA is setting new daily records of infections tha...

COVID-19 seems cooking biggest ever global scam

The increasing number of corruption cases on COVID-19 funds from throughout the world and involvement of high profile persons indicate that the countries cant ignore corruption in their pandemic response programs. This has generated the nee...

Health Management Information Systems lack holistic, integrated, and pandemic resilient character

Being a part of the United Nations system, the World Health Organization WHO deserves its share of rebuke for its alleged failure issue COVID-19 health emergency alerts on appropriate time. However, the pandemic has also exposed loopholes i...

Pride in the time of coronavirus: a welcome move online?

This year is different in many ways not least as celebrations are also taking place against the dramatic backdrop of a global health crisis and a resurgence in grassroots activism following the death of George Floyd in Minneapolis. ...


Latest News

Greece passes law regulating demonstrations, thousands march in Athens

Greeces parliament approved a bill on Thursday regulating street demonstrations as thousands marched through central Athens to denounce the new law.The law was introduced by Greeces conservative government in an attempt to regulate demonstr...

New WHO guidance calls for more evidence on airborne transmission

The World Health Organization on Thursday released new guidelines on the transmission of the novel coronavirus that acknowledge some reports of airborne transmission of the virus that causes COVID-19, but stopped short of confirming that th...

Soccer-Midtjylland beat rivals Copenhagen to claim Danish league title

FC Midtjylland scored three second-half goals as they came from behind to beat title rivals FC Copenhagen 3-1 and be crowned champions of Denmarks Superliga in front of 4,800 fans on Thursday, almost a year after the season kicked off.The h...

Coronavirus records in Florida, Texas and California erode hopes of economic revival

Record-breaking coronavirus cases and deaths in several U.S. states are dimming hopes of economic recovery, with cellphone data showing shoppers are staying away from stores in areas where cases are rising the most. In Arizona, Texas, Flori...

Give Feedback